Ethereum

Bitcoin

Read

<a href="https://coingape.com/bitwise-ceo-hints-at-major-announcement-spot-ether-etf-launch-likely-by-july-4/" target="_blank" rel="noopener">Bitwise</a> CIO Matt Hougan thinks that investors should add Ethereum (ETH) to their financial portfolios. He encouraged them by outlining three major reasons why they should do so. 
<h2 id="strong-investing-in-bitcoin-and-ethereum-strong">Investing in Bitcoin And Ethereum&nbsp;</h2> 
The second largest cryptocurrency by market capitalization remains on the lips of crypto enthusiasts, industry key players, and regulators in recent weeks for different reasons. Hougan hand-picked the crypto asset, sensitizing investors on why they should hold the coin. He started by identifying diversification as one reason to have Ethereum in one’s portfolio. 
<blockquote class="twitter-tweet"> 
 Three reasons to add ETH to your portfolio, and one important reason to stay BTC-only. 
 A thread. 
 — Matt Hougan (@Matt_Hougan) <a rel="nofollow" href="https://twitter.com/Matt_Hougan/status/1803767313566724108?ref_src=twsrc%5Etfw">June 20, 2024</a>
</blockquote> 
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
Hougan acknowledged that though crypto is recognized as a new and disruptive technology, the exact tangent of the burgeoning industry is not fully known. Owing to this situation, he advised investors to “own the market” and this includes acquiring ETH which has a current market cap of $420 billion. 
The Hougan-recommended ratio for acquisition is 3:1, representing 75% Bitcoin and 25% Ethereum. 
Per his second reason, the Bitwise CIO pointed out that Bitcoin and Ethereum have their different use cases. Bitcoin is designed to embody the best form of money while Ethereum’s design is to make money programmable, per Hougan’s X post. Ethereum is more of a technological platform for new applications that rely on public blockchains, like stablecoins and Decentralized Finance (DeFi). 
Lastly, Hougan pointed to historical data stating that adding ETH to a financial portfolio over a full crypto market cycle has shown to boost both an investor’s absolute and risk-adjusted returns compared to having only BTC. 
Ultimately, Hougan’s recommendation is that some ETH should be added to a majority BTC position. He strongly believes that this gives a broader exposure to all the things public blockchains can do. 
<h2 id="strong-sec-dismisses-ethereum-investigation-strong">SEC Dismisses Ethereum Investigation&nbsp;</h2> 
The Bitwise CIO’s ETH insight comes at a time when the coin and its ecosystem are moving towards becoming a global phenomenon. 
The United States Securities and Exchange Commission (SEC) recently dismissed its 14-months investigation into Ethereum, causing experts like ConsenSys founder <a href="https://coingape.com/consensys-founder-joseph-lubin-sees-end-to-sec-crypto-hostility-very-soon/" target="_blank" rel="noopener">Joseph Lubin</a> to react. Lubin considered this a win, adding that securing regulatory clarity should come with no hassle 
The news of the dismissal has contributed to a slight increase in the market value of the coin. At the time of this writing, there were some fluctuations in the <a href="https://coingape.com/markets/eth-btc-price-analysis-ethereum-price-jumps-3-as-sec-drops-investigation/" target="_blank" rel="noopener">price of ETH</a>. It is currently trading for $3,515.26 with a 0.61% surge from its previous value in 24 hours. 
Read More: <a href="https://coingape.com/just-in-bitflyer-exchange-plans-to-acquire-ftx-japan/" target="_blank" rel="noopener">BitFlyer Exchange Plans To Acquire FTX Japan</a> 
The post <a href="https://coingape.com/top-3-reasons-to-buy-ethereum-bitwise-cio/">Top 3 Reasons To Buy Ethereum: Bitwise CIO</a> appeared first on <a href="https://coingape.com">CoinGape</a>.

Top 3 Reasons To Buy Ethereum: Bitwise CIO

Table of Contents

Coingape News Media

Other articles published on Jun 20, 2024

Top Crypto Presale: Investors Rush for MoonBag’s Staking Rewards, Leave Kangamoon and Near Protoc...

Smart Whale Scores Big Bitcoin Gains

Bitcoin fights back, Can it regain $66K with Australia’s first BTC ETF?

Qubetics on the Rise: Early Investors Rush to Secure Positions Amidst Litecoin and Cardano Uncert...

Empower Your Dreams: Join Qubetics Whitelist for Growth, Steering clear of Chainlink and Cardano

Jump Crypto Under CFTC Investigation: Report

Join our free newsletter for daily crypto updates!